China Woes Drive Hong Kong, Taiwan to Bear Market

Investor jitters about China spark further losses

Stocks in Hong Kong and Taiwan fell into bear-market territory Thursday, as the effects of China’s volatility spills across its borders.

Both Hong Kong’s Hang Seng Index and Taiwan’s Taiex fell 20% from their peaks in April earlier Thursday before retracing losses. The Hang Seng Index closed down 1.8% and Taiwan’s Taiex, which was down as much as 0.9%, rebounded to end 0.1% higher.